Biased because I'm from Lincoln but I think another season with the Imps will do him a world of good, no matter what division it ends up being in. I actually think it would be more beneficial for him if it's in League 1 as Lincoln are a possession based side under Appleton which suits his game, things will change if they end up in the Championship.
Technically he's fantastic and too good for the level he's playing at but he still has a lot of developing to do in other parts of his game.
Appleton is great with younger players and with the way he wants his teams to play, I think a relationship between the two clubs could be a win/win!
That being said, I think a player like Delap joining Lincoln would be great for them but not for City. I think he needs a Championship move as a minimum if he's not going to be in our first team plans next season. Palmer would be a good shout though!